Alliance receives loan from Agralite

Work to convert the former Kinder-Morgan propane tank facility from one that once supplied by pipeline to one supplied by rail has received critical funding through Agralite Electric Cooperative of Benson.
Alliance Midstream LLC, which was developed to keep the terminal operational, has received a $500,000 loan through Agralite to facilitate the acquisition of the longtime propane delivery terminal just west of Benson along U.S. Highway 12. Funds will also help with construction of the rail car offloading facility.
“We’re extremely pleased to be able to help Alliance Midstream keep what has long been an extremely critical propane terminal operating in our area,” Agralite Electric General Manager Kory Johnson said. “Agralite Electric members depend on this resource and it’s been an important piece of our community for decades.”
The former Kinder-Morgan terminal had been in operation since 1979 and supplied propane gas from Canada to the U.S. through the Cochin Pipeline. The pipeline starts near Edmonton, Canada, and travels through North Dakota, Minnesota, and Iowa on its way to near Chicago. Benson was one of five terminals along the line receiving 120 million gallons of the 320 million gallons shipped annually.